The slow assembly of the first residential tower in the project formerly known as Atlantic Yards has ground to a total halt amid a dispute between the developer and Skanska USA.

A contractor at the long-delayed Atlantic Yards project, recently rebranded as Pacific Park, has stopped work on the first residential tower, which is being built from modular units.

Skanska USA Building, which is the contractor for the modular tower known as B2, ordered work to come to a halt after a long-running dispute with Brooklyn's Forest City Ratner.

"We have run into some significant commercial disputes that we have been working hard to resolve, but have been unable to do so," said Richard Kennedy, co-chief operating officer for Skanska USA, citing issues with schedules and costs. "As consequence, we issued a stop work notice [Tuesday]."

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Forest City recently formed a partnership with Shanghai-based Greenland Holding Group, dubbed Greenland Forest City Partners, to develop the rest of the $4.9 billion project, which is slated to eventually contain 6,430 apartments, though this dispute does not include the Chinese investment firm.

Workers at FCS Modular, the company formed by Forest City and Skanska to churn out the units from a factory in the Brooklyn Navy Yard, received a notice Wednesday that they were being furloughed until further notice. If the conflict is not resolved, the letter predicted that workers would be laid off beginning Sept. 23.

Forest City placed the blame for the dispute on Skanska USA and issued a statement accusing the firm of mismanagement of the site and vowing legal action.

"This is a dispute over the costs of delays resulting from Skanska's own failures and missteps as the construction manager for B2 modular," a spokesman said in a statement, indicating the firm would use legal action if needed to restart construction. "Skanska entered into a construction management agreement based on a fixed price which they guaranteed. Now faced with overruns, they are employing a typical strategy to try to weasel out of that obligation."